Delta Partners-backed Aricent acquired by Altran

Engineering and R&D services provider Altran has entered into an agreement to acquire Delta Partners-backed Aricent, a “digital leader” in design and engineering services, for a total value of $2 billion through an all-cash transaction.

Delta Partners invested in Aricent in 2010 through its MENA Telecom Fund – its first private equity vehicle – joining other prominent shareholders including Kohlberg Kravis Roberts & Co. (KKR), Sequoia Capital, The Family Office and The Canadian Pension Plan (CPP) Investment Board.

The transaction is expected to close during Q1 2018, subject to receipt of necessary anti-trust approvals and fulfilment of other customary conditions.

“We are excited to join forces with Altran, an organisation that seamlessly aligns with our values and core mission,” said Frank Kern, CEO, Aricent. “This acquisition is testament to Aricent’s long-standing and deep relationships with our clients and it recognises the special talents and strength of our 10,500+ dedicated Aricent employees. We look forward to working closely with Altran group chairman and CEO Dominique Cerutti and his leadership team to bring even greater value to our clients.”

The transaction implies a 3.4x MoM on the capital invested by the Delta Partners MENA Telecom Fund.

Delta Partners has actively supported Aricent in its global development and growth since it invested in the company almost ten years ago.

Delta Partners’ active engagement with management and the board via its board observer and strategic partner role has allowed it to provide consultative support on the overall direction of the firm.

This includes providing specific input on its approach to developing global markets in the telecom sector.

Commenting on the acquisition, Kristoff Puelinckx, responsible deal partner for Delta Partners and Aricent’s board observer, said, “We very much appreciate the close collaboration with KKR and the other shareholders of Aricent and the successful results achieved by CEO Frank Kern and his team over the years. The proposed transaction will forge an even stronger company in the sector and create a new global market leader.”

Delta Partners is a global advisory and investment integrated platform, with offices in the United Arab Emirates, South Africa, Spain, Singapore, Colombia and the United States of America.